Labor Productivity Rose 1.2% in Q4
Washington, DC, March 5, 2020-Nonfarm business sector labor productivity increased 1.2% in Q4 2019, the U.S. Bureau of Labor Statistics reported, as output increased 2.4% and hours worked increased 1.2%.
From Q4 2018 to Q4 2019, productivity increased 1.8%, reflecting a 2.6% increase in output and a 0.8% increase in hours worked.
Labor productivity, or output per hour, is calculated by dividing an index of real output by an index of hours worked by all persons, including employees, proprietors, and unpaid family workers.
Unit labor costs in the nonfarm business sector increased 0.9% in Q4 2019 as hourly compensation grew at a faster rate (2.1%) than productivity (1.2%). Unit labor costs
increased 1.7% over the last four quarters.